1. FOREVER
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2. Career Opportunities in Equity
Research
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3. Career Opportunities in Equity Research
Knowledge Sharing Session: Agenda
 What is the structure of Broking Firms?
 Role of Research
 How does the day of a Equity Research Analyst go?
 What are pay packages of Analysts?
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4. Career Opportunities in Equity Research
Knowledge Sharing Session: Agenda
 What are hierarchies in Stock Broking Houses?
 Few most important qualities of the analyst?
 What are the companies that require Research Analysts?
 What is low end and high end work for Research Analysts?
 What gives an individual edge over others
 Career Path in Equity Research
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5. Career Opportunities in Equity Research
What is the structure of Broking Firms?
Basic Business Model for Stock Broking:
Mutual Mutual
Funds Funds
(Money)
Insurance Buyer Seller Insurance
Houses Houses
(Shares)
Banks Banks
Retail Retail
Investors Broker Investors
FIIs (Brokerage) FIIs
Companies Companies
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6. Career Opportunities in Equity Research
What is the Role of Research?
Recommendations Research Recommendations
Team
Mutual Mutual
Funds Funds
(Shares)
Insurance Buyer Seller Insurance
Houses Houses
(Money)
Banks Banks
Retail Retail
Investors
Broker 2 Broker Broker 1 Investors
(Brokerage) FIIs
FIIs Broker 3
Broker 4 Companies
Companies
How to Differentiate?
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7. Career Opportunities in Equity Research
What is the Role of Research?
 Every investment decision process needs to have some reasoning.
 Research is an attempt to come up with that reasoning.
 Research attempts to identify the hidden gems in the piles of stocks
and recommend it to its clients.
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8. Career Opportunities in Equity Research
Distinction between Sell Side and Buy Side Analyst:
Sell Side Analyst: A sell-side analyst works for a brokerage or firm
that manages individual accounts and makes recommendations to
the clients of the firm.
Buy side Analyst: These individuals perform research and make
recommendations to the money managers of the fund that employs
them.
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9. What Equity Research is ALL
About?
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10. What Equity Research is ALL About?
 Financial Statement Analysis
 Economy Analysis
 Industry Analysis
 Company Analysis
 Valuation
 Recommendations (Buy, Sell, etc)
 Fat Salaries
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11. What equity research is all about?
 Management interactions
 Lot of work in Core Finance
 Analyst Meets
 Investment World
 Fascination
 Money; Wealth
 Excitement
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12. Career Opportunities in Equity Research
What are key accountabilities of Research Analysts?
 To bring maximum companies under coverage in the sector he/ she
tracks over a period of time.
 To generate the quarterly updates
 To write event updates
 To update the sales, dealing and trading team about the latest
happenings in the sector/ company
 To build views that are distinct and can stand separate in market
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13. Career Opportunities in Equity Research
How does a typical day of Research Analyst go?
 Attending morning meetings
 Answering to queries from sales, dealers etc.
 Talking to company management
 Punching the data, Modeling, Verifying
 Reading & reading and reading
 Writing & writing and writing
 Attending analysts Meets
 Attending conference calls
 Talking to clients and convincing them about the call you have
 Going home thinking what can really excite my boss and markets
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14. Career Opportunities in Equity Research
Career Classification depending on the clients the broker caters to:
How does job of
Equity Research
Analyst differ
across clients?
Institutions
High Networth
Individuals
(HNIs)
Retail Clients
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15. Career Opportunities in Equity Research
What are different hierarchies in the Equity Research?
CEO
Institutional Research
Head of Equities
Research Head
Analyst1 Analyst 2 Analyst 3 Analyst 4 ……. Analyst n
Associate1 Associate 2 Associate 3 Associate 4 ……. Associate n
Sector 1 Sector 2 Sector 3 Sector 4 ……. Sector n
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16. Career Opportunities in Equity Research
What are different hierarchies in the Equity Research?
HNI/ PCG Research
Research Head
Analyst 1 Analyst 2 Analyst 3
Sector 1 Sector 2 Sector 3 Sector 4 Sector 5 Sector 6 Sector 7 Sector 8 Sector 9
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17. Career Opportunities in Equity Research
What are different hierarchies in the Equity Research?
Retail Research
Research Head/
Sales Head
Analyst
Sector 1 Sector 2 Sector 3 Sector 4 Sector 5
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18. Career Opportunities in Equity Research
What pay packages could be expected?
 If you are a fresher, you can expect annual package in the range of
Rs2.4 lakh to Rs3.6 lakh.
 People with prior experience but not in equity research, should
negotiate the salaries.
 Do you have to sacrifice your salaries if you are shifting the career?
 Packages depend a lot on the market conditions, kind of work you
have done earlier, what you bring on the table and your ability to
negotiate.
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19. Career Opportunities in Equity Research
Who are the companies that require Research Analysts?
 Stock Brokerage
 Mutual Funds
 PE Firms
 Venture Capital Firms
 Banks
 KPOs
 Credit Rating Firms
 Media Companies
 Data Base Firms
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20. Career Opportunities in Equity Research
What is low end and high end work in Equity Research?
 Per say, if you are a part of research team, you are already doing a high end work.
 However, some individuals consider, punching data, drawing different charts,
tables, formatting excel sheets, formatting reports a relatively low end work.
 High End work: Financial Modeling, Projecting the Financials, Valuations,
Interacting with the management, Interacting with the fund managers is
considered a high end work.
 Is low end work really a low end work?
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21. Career Opportunities in Equity Research
What gives an individual edge over others if he/ she wishes to
enter into Equity Research:
 Clear inclination towards finance
 Clear Inclination for analysis
 Ability to deal with a lot of numbers
 Ability to deal with uncertainty
 Ability to talk to higher authorities like top management and fund managers
 Ability to write professionally about the financial happenings
 Conviction to stand by your belief and views
 Ability to look into the future of the organization
 Having rationale thought process
 Ability to Network and convince clients your recommendation
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22. Career Opportunities in Equity Research
Career Path in Equity Research
Fund Manager
Investment
Banker
Assist. Fund Fund
Manager Private Manager
Manager Equity Fund
Investment manager
Buy Side Banking
Research Private Head of
Analyst Equity Equities
Analyst
Head of
Research
Sell Side
Research
Associate/ (5 to 10 years)
Junior Analyst
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23. Contact Details
022-65247782
ashwin@consci.co.in
harshad@consci.co.in
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24. Thank You
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